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Hospital Errors: Who Pays?

The Indianapolis Star reports that Medicare, the largest single payer of medical bills in the US, is scrutinizing conditions caused by medical error and considering not paying for them. This ought to shake up the health care industry, because where Medicare goes, commercial insurance providers like Blue Cross/Blue Shield and United HealthCare tend to follow. Medicare is considering not paying for these hospital acquired problems:

Researchers report a "chasm in quality" between the nation's top tier and bottom tier hospitals. McLeod Health in Florence South Carolina is one of those top tier medical centers, largely because over the past decade they have invested resources in process improvement, including IT. They are ranked #1 in South Carolina and the top 10% in the country for cardiac interventions. McLeod Health has automated drug dispensing, medication reconciliation, physician order entry and while the cost was high, the outcome has been worth it. They participate in the National Voluntary Hospital Reporting Initiative to help "raise the bar for Health Care Performance".

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